AURORA, Ill. – Shanghai Husi Food Co. is facing scrutiny from Chinese food and drug regulators.

The Shanghai Municipal Food and Drug Administration recently announced a decision to destroy batches of alleged “questionable products” that were recalled from Shanghai Husi. In a statement, OSI China expressed disappointment at the Shanghai FDA's actions.

“We view this statement to be very misleading as its use does not meet the definition of “questionable products” as set forth by the China Food and Drug Administration [CFDA],” the company said.

OSI China noted its cooperation with the agency in the voluntary product recall and added that the “disposal cannot be construed in any way as an admission by Shanghai HUSI of food-safety problems in such voluntarily recalled products.”

Food-safety authorities in Shanghai temporarily suspended operations at the Shanghai Husi plant following allegations of food-safety problems. Burger King, Yum! Brands, McDonald's and other major customers severed business ties with OSI China. Sheldon Lavin, OSI CEO, issued an apology, saying “I will not try and defend it or explain it. It was terribly wrong, and I am appalled that it ever happened in the company that I own.”

The company launched its own investigation into the matter and implemented a management and structural re-organization for its operations in China.

“Shanghai HUSI has worked very hard to fully cooperate and continuously communicate with the Shanghai FDA,” the statement continued. “We fulfilled our commitment to withdraw, through voluntary recall, our qualified products from the market for the dual purpose of 1) eliminating any possibility of the public’s groundless doubt and concern over our products relating to the Shanghai HUSI incident; and 2) cooperating with the Shanghai FDA’s handling and direction regarding the Shanghai HUSI incident.”